The 35-year-old was leading the race to assume the Blues' top job, according to multiple reports.
Former Bayern Munich manager Julain Nagelsmann has pulled out of the race to become Chelsea’s manager.
Reports indicate the German is no longer interested in the Stamford Bridge hot seat despite holding multiple talks with the club’s hierarchy.
He was among the candidates shortlisted – alongside Mauricio Pochettino, Luis Enrique, and Vincent Kompany - to replace Graham Potter.
However, other reports indicate Enrique has been removed from the shortlist.
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Nagelsmann was recently sacked by Bayern after an inconsistent run of results - five wins in nine matches that let Borussia Dortmund back into the title race - despite winning the Bundesliga title in his maiden season with the Bavarians.
It is reported that his decision is final, and therefore he is not going to be considered for appointment.
Nagelsmann had emerged as a favourite candidate to take over Chelsea, but his reported exit from the race leaves room for others to be considered instead.
Kompany has been shortlisted following his successful campaign with Burnley. The Belgian led Burnley to promotion from the Championship to the Premier League in his first season at Turf Moor.
The retired centre-back has also been linked with Tottenham Hotspur, following the exit of Antonio Conte. Currently, Conte’s then assistant Christian Stellini was placed in charge of Spurs until the end of the season.
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Pochettino has also been heavily linked with the vacant managerial position at Stamford Bridge. The Argentine is said to be reluctant to take over as he awaits to assess other options in the summer.
Pochettino – who has also been reported to be in Real Madrid’s radar - has been out of a managerial role since he left PSG in July 2021.